Fairchild Semiconductor International Inc. had a sharp decline from $21.02 (U.S.) to $10.25 in 2011 (A-B) and then built a large multiyear base near $11.50 (dashed line). In 2014, the stock started a new up-leg, but seemed to find minor resistance near $18 (dotted line). The recent rise to $20.65 signalled renewed investor interest and the resumption of the up-trend (solid line) toward higher targets (C). A better entry may occur near $18-$18.50, but only a sustained decline blow $16.50 would be negative. Point & Figure measurements provide targets of $22 and $24. The large multiyear base supports higher targets.
Monica Rizk is the senior technical analyst for Phases & Cycles Inc. (www.phases-cycles.com). Ron Meisels is a contributor to the www.NA-marketletter.com website and Tweets at @Ronsbriefs. They may hold shares in companies profiled. Please see the site for a glossary.